Global Markets and Technologies for Wireless Sensors -- Focus on EMEA

Report Highlights

• The global market for wireless sensor devices used in end vertical applications totaled $532 million in 2010 and $790 million in 2011. This market is expected to increase at a 43.1% compound annual growth rate (CAGR) and reach an estimated $4.7 billion by 2016.
• The EMEA (Europe, the Middle East, and Africa) region’s contribution of wireless sensor device sales is expected to decrease from 21.9% to 21.3% during the 2011 to 2016 forecast period, but the market will grow at a CAGR of 42.2% and reach nearly $1 billion by 2016.
• The German wireless sensor device market in the EMEA region was $28 million in 2010 and $38 million in 2011. BCC expects this market to grow to $200 million in 2016, a CAGR of 39.4%.

INTRODUCTION

Wireless sensor devices connect sensors wirelessly among each other as well as to monitoring and management setups.  While the sensing principles are consistent with that of wireline sensors, wireless sensors have the challenge of operating with an attractive form and with robust power management.

The payout is spectacular.  In most cases, wireless sensors beat their wireline counterparts hands down in the following aspects:

• Physical reach
• Time to roll out and install
• Pricing
• Suitability in harsh operating environments

Wireless sensor devices are the actual sensing elements that are present in the wireless sensor networks.  They do not include gateways or management software.

This report deals exclusively with wireless technologies employed in the personal area network (PAN) and local area network (LAN) topologies.  It does not cover wide area networks (e.g., commercial cellular networks).

STUDY GOALS AND OBJECTIVES

This study’s goals and objectives include the following:

• Forecast the market size for wireless sensor devices used in PANs and LANs in terms of dollar and unit sales.
• Classify the market size for wireless sensor devices used in PANs and LANs by various parameters measured in terms of dollar and unit sales.
• Classify the market size for wireless sensor devices used in PANs and LANs by end application in terms of dollar and unit sales.
• Classify the market size for wireless sensor devices used in PANs and LANs by geographical regions in terms of dollar and unit sales.
• Classify the market size for wireless sensor devices used in PANs and LANs by wireless and standard technologies in terms of dollar and unit sales.
• Identify the market size for wireless sensor devices used in PANs and LANs in key country markets in terms of dollar and unit sales.
• Analyze the challenges posed by technology issues (e.g., power management) and the steps taken by industry stakeholders to counter these challenges.
• Analyze the challenges posed by business issues (e.g., multiplicity of wireless standards and technologies) and the steps taken by industry stakeholders to counter these challenges.
• Highlight the roles played by major stakeholders and players.
• Provide an overview of the activities of influential companies.
• Examine crucial, innovative breakthroughs by means of a detailed patent analysis.

REASONS FOR DOING THE STUDY

Wireless sensor networks are the drivers of the grand scheme of the Internet of Things.  This scheme visualizes the networking and connection of practically any device that can embed a communicating modem.  While this premise is no doubt exciting, there are very few drivers in the near future than can pave the path for its realization.  Wireless sensor networks are one of these few drivers.  They are arguably the most tangible, realizable, and commercially viable drivers for the Internet of Things.

However, the fit into this grand scheme is only an aside to the wireless sensor story.  The main theme here is the phenomenal amount of use cases that can be engendered by the technology.  These include the wireless enablement of existing wireline sensors as well as the spawning of new use cases altogether.

Everything is, however, not all positive.  The technology faces compelling technical and business challenges that need to be overcome before it can realize its potential.  This report is an effort towards forecasting the market size for wireless sensor devices in the face of these challenges.

SCOPE OF THE REPORT

This report presents the forecasts for wireless sensor devices employed in PANs and LANs for 2011 through 2016 on a volume and value basis.  These forecasts are further broken down by the various parameters that can be measured by the sensors, by end applications, and by geographical regions.

The report covers the following parameters that can be measured by wireless sensor devices:

• Temperature
• Pressure
• Level
• Flow
• Chemical composition
• Biological characteristics
• Motion and position
• Surveillance and image
• Humidity

The end vertical application breakdown includes:

• Industrial installations
• Ecology and agriculture
• Logistics and transport
• Defense and surveillance
• Medicine
• Residential automation and energy management

The regional breakdown focuses on the following geographical areas:

• The Americas
• Europe, the Middle East, and Africa (EMEA)
• The Asia-Pacific region (APAC)

Country-specific analyses are included for the following countries:

• U.S.
• Canada
• Brazil
• Mexico
• Germany
• France
• Italy
• Spain
• U.K.
• The Netherlands
• Russian Federation
• Israel
• South Africa
• Turkey
• Japan
• China
• South Korea
• India
• Indonesia

The report covers the following wireless technologies and standards:

• Bluetooth
• Radio frequency (RF) identification (RFID)
• Wi-Fi + IPv6 over low-power, wireless PANs (6LoWPAN)
• ZigBee + RF for consumer electronics (RF4CE)
• Domain-specific and proprietary technologies

The Executive Summary chapter provides an end application, domain-wise breakdown of the dollar sales of wireless sensor devices.  The Overview chapter deals with the fundamentals of sensors and introduces the various measurable parameters.  It also covers the major technology and business challenges confronting the wireless sensor domain and introduces the reader to the concepts of energy harvesting.  The chapter familiarizes the reader with the leading wireless PAN and LAN technologies and standards. 

The Global Markets chapter deals exclusively with quantitative forecasts with a special focus on the application of sensors.  After providing a broad breakdown of the global market for wireless sensors, this section provides an overview of the astonishing body of use cases for wireless sensors and gives a detailed breakdown of the sensor market along these domains.

The Regional Analysis chapters take a closer look at the wireless sensor market for the various regions highlighted in this report.  The Major Players chapter covers the extremely well-populated landscape of the wireless sensor industry.  It identifies and explains the major stakeholder categories and then analyzes the initiatives undertaken by key companies.

The U.S. Patent Analysis chapter covers innovative activities that impact wireless sensors.  Patents are also categorized in terms of application and architecture, as well as timing, assignee countries, and assignee organizations.

INTENDED AUDIENCE

This study provides a granular analysis of the market for wireless sensor devices employed in PANs and LANs.  This report:

• Breaks down the market by parameter measured in terms of dollar and unit sales.
• Breaks down the market by end vertical application in terms of dollar and unit sales.
• Breaks down the market by geographical region in terms of dollar and unit sales.
• Breaks down the market by wireless technology and standard in terms of dollar and unit sales.
• Identifies the market size in key country markets in terms of dollar and unit sales.

This report will be valuable to many industry participants, including the following:

• Wireless chipset makers
• Sensor original equipment manufacturers (OEMs)
• Sensor end users and distributors
• Energy harvesting specialists
• System integrators
• Intellectual property owners of sensing and energy harvesting technology
• Financial institutions

METHODOLOGY

Both primary and secondary research methodologies were used in preparing this report.  BCC Research presents an analysis across the global market for wireless sensor devices employed in PANs and LANs based on reported revenue dollars and units shipped.  We also analyzed data gathered from various research sources via the Internet.  Interviews were conducted with well-placed industry sources.

INFORMATION SOURCES

The following sources have been referenced:

• Primary research, including interviews with experts from companies operating in the handset and waveform domains
• Published industry data
• Shipment reports of non-listed companies
• 10-K reports

AUTHOR CREDENTIALS

Shalini R. has extensive experience analyzing and evaluating advanced information technology, including telecommunications and optical networks.  She holds a Bachelor of Engineering degree in Electronics and Telecommunications from Kumaraguru College of Technology in Coimbatore, India, as well as a Master of Science degree in Telecommunications and Software Engineering from the Illinois Institute of Technology in Chicago.

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DISCLAIMER

This publication provides informative material of a professional nature.  It does not constitute managerial, legal, or accounting advice, nor should it serve as a corporate policy guide or an endorsement of any given product or company.  This information is intended to be as accurate as possible at the time it was written and was undertaken on a best-effort basis.  The views expressed are those of the author and do not make any warranty, express or implied, for the accuracy, completeness, or usefulness of the information, or for the interpretation of data or its use by others.  Projections involve risks and uncertainties that include but are not limited to technical risks associated with technology development, government regulatory approvals, and access to capital.  The author assumes no responsibility for any losses or damages that may result from one’s reliance on this material.